Unilever (NYSE:UL) Sees Large Volume Increase – Here’s Why

Unilever PLC (NYSE:UL) saw an uptick in trading volume on Friday . 5,391,321 shares were traded during trading, an increase of 48% from the previous session’s volume of 3,641,436 shares.The stock last traded at $61.6210 and had previously closed at $61.51.

Key Stories Impacting Unilever

Here are the key news stories impacting Unilever this week:

• Positive Sentiment: Potential value unlock — Reports say Unilever is discussing an all-stock combination of its foods unit with McCormick, which investors often view as a catalyst that could re-rate the remaining Unilever into a purer-play personal-care business. Why Mayo and Soap No Longer Mix for Unilever
• Positive Sentiment: Strategic fit and buyer credibility — McCormick has a track record of successful brand deals (Frank’s, Cholula) which supports the commercial logic of combining condiment and shelf-stable food portfolios. That narrative makes a deal more plausible and palatable to markets. From Frank’s to Cholula, McCormick’s decade of deals sets stage for bold Unilever move
• Neutral Sentiment: Company confirmation but no certainty — Unilever confirmed it has received an inbound offer and is in active talks, but emphasized negotiations are ongoing and no agreement has been reached; that leaves deal risk and timeline unclear. Unilever confirms talks with McCormick over sale of foods business
• Neutral Sentiment: Market reaction and analyst commentary — Analysts and experts are weighing pro and cons publicly, producing higher volatility as investors parse value-transfer, tax, regulatory and structural implications. Quotes: Analysts and experts react to Unilever’s potential food business sale to McCormick
• Negative Sentiment: Revenue and margin trade-offs — Unilever’s foods business is a meaningful chunk of sales; divesting it reduces scale and near-term revenue, and could hurt top-line growth even if margins improve for the remaining business. See explainer on the foods unit’s importance. Explainer: How important is food to Unilever?
• Negative Sentiment: Execution and integration risk — Any spin, sale or merger involves regulatory review, integration complexity and potential one-time costs; markets will penalize surprise execution risk or lower-than-expected proceeds. Unilever in talks to combine food business with McCormick, WSJ reports

Analysts Set New Price Targets

A number of brokerages have recently issued reports on UL. Argus upgraded Unilever to a “strong-buy” rating in a report on Monday, March 2nd. DZ Bank downgraded Unilever from a “buy” rating to a “hold” rating in a research report on Wednesday, February 18th. BNP Paribas Exane set a $71.00 target price on Unilever and gave the company a “neutral” rating in a research note on Thursday, January 8th. Weiss Ratings downgraded shares of Unilever from a “buy (b-)” rating to a “hold (c+)” rating in a report on Thursday, February 26th. Finally, Kepler Capital Markets lowered shares of Unilever from a “buy” rating to a “hold” rating in a research report on Tuesday, February 17th. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, six have given a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $65.55.

Unilever Stock Down 0.2%

The company’s fifty day simple moving average is $68.57 and its 200-day simple moving average is $67.93.

Unilever (NYSE:UL) last issued its quarterly earnings data on Thursday, February 12th. The company reported $0.75 EPS for the quarter, missing the consensus estimate of $1.75 by ($1.00). The firm had revenue of $11.87 billion during the quarter, compared to analysts’ expectations of $31.39 billion. As a group, sell-side analysts anticipate that Unilever PLC will post 3.27 EPS for the current fiscal year.

Unilever Cuts Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, April 10th. Shareholders of record on Friday, February 27th will be paid a $0.5547 dividend. The ex-dividend date is Friday, February 27th. This represents a $2.22 dividend on an annualized basis and a yield of 3.6%.

Institutional Investors Weigh In On Unilever

A number of large investors have recently modified their holdings of UL. Barrow Hanley Mewhinney & Strauss LLC acquired a new stake in Unilever in the 4th quarter worth approximately $268,704,000. Wellington Management Group LLP increased its stake in Unilever by 9.3% during the 3rd quarter. Wellington Management Group LLP now owns 34,665,544 shares of the company’s stock valued at $2,054,973,000 after purchasing an additional 2,935,227 shares in the last quarter. Norges Bank acquired a new position in Unilever during the 2nd quarter valued at approximately $144,979,000. Thrivent Financial for Lutherans raised its holdings in shares of Unilever by 13,906.2% in the third quarter. Thrivent Financial for Lutherans now owns 2,268,300 shares of the company’s stock worth $134,465,000 after buying an additional 2,252,105 shares during the last quarter. Finally, Fisher Asset Management LLC raised its holdings in shares of Unilever by 10.2% in the second quarter. Fisher Asset Management LLC now owns 21,578,648 shares of the company’s stock worth $1,319,966,000 after buying an additional 1,989,631 shares during the last quarter. Hedge funds and other institutional investors own 9.67% of the company’s stock.

About Unilever

Unilever PLC is a global consumer goods company with roots dating back to the early 20th century, formed from the merger of the British firm Lever Brothers and the Dutch company Margarine Unie. The company develops, manufactures and markets a broad portfolio of branded products in personal care, home care and foods and refreshments. Unilever’s corporate structure and listings reflect its long history in both the United Kingdom and the Netherlands, and it operates at scale across diverse consumer markets worldwide.

Unilever’s business is organized around major product categories—Beauty & Personal Care, Home Care and Foods & Refreshment—and includes numerous well-known consumer brands across those categories.